Benchmark stock market indices kicked off Monday’s session on a strong note, buoyed by positive global cues and steady foreign investor inflows.
The BSE Sensex rose 341 points to 80,843.35, while the NSE Nifty50 gained over 84 points to 24,420.65 around 9:21 am.
Most of the broader market indices also registered gains in early trade and the top five gainers on the Nifty50 were Adani Ports, Shriram Finance, Asian Paints, Trent and Titan. On the other hand, the top drags were Kotak Mahindra Bank, SBI, ONGC, JSW Steel and L&T.
The , optimism over a potential India-US trade deal, and a largely encouraging set of Q4 earnings.
Investor sentiment is also being lifted by a significant shift in foreign portfolio investor (FPI) behaviour. Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, noted a critical reversal in strategy.
“The reversal in FII strategy in India from selling to buying continued for the week ending 2nd May. During the first three months of 2025, FIIs were big sellers through the exchanges, offloading equity worth Rs 1.29 lakh crore. But in the last 12 trading sessions, they have turned sustained buyers, pumping in Rs 40,145 crore. This marks a major pivot in FII strategy and will impart resilience to the market,” he said.
However, Vijayakumar also cautioned that geopolitical risks could pose headwinds.
“The concern now is India’s retaliatory action to the terrorist strike and its fallout. This will likely restrict the FII-led rally,” he added.
He highlighted the supportive role of macro trends as well.
“The steep decline in the Dollar Index-from 111 on January 11 to 99 recently-remains a strong tailwind for the market. Also, the outperformance of largecaps over the broader market is a healthy trend that can sustain.”
Meanwhile, Anand James, Chief Market Strategist at Geojit Financial Services, offered a technical lens on the Nifty’s trajectory after Friday’s volatile close.
“Friday’s vicious rejection trades forced Nifty to form a gravestone doji candlestick pattern. However, the close near 24,350-identical to the previous six sessions-encourages us to ignore the bearish signal from the doji for now, and stick with our 25,000 view.”
“That said, any sign of slipping below 24,280 would be a warning sign, though a break below 23,850 would be needed to confirm a slide toward 23,670-23,460. While the odds appear low for now, we remain cautious,” he added.
The stage now looks set for a session driven by global risk appetite, technical levels, earnings, and evolving geopolitical dynamics.